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My DIY Pension: Watch the nervous nineties

IT can pay to keep an eye on shares that hover around the nervous nineties — stocks that cost between 90p and 99p, or 190p to 199p, writes Robbie Burns.

A round number such as 100p or 200p creates a barrier for most shares. If they are climbing, they often get close to this level but struggle to pass through it. However, if the shares breach the barrier they often climb fast.

I bought Fenner, an engineering firm, about a year ago for my self-invested personal pension (Sipp) at 86p. It went up to 97p, then dipped below 90p. It had another go, and failed. But then it pushed up above 100p and since then it has soared. The price is now 129½p — a profit of £1,967.

Sometimes, if I’m not sure, I invest after the barrier has been broken. For example, I bought White Young Green, a buildings consultancy, at